The Interpreter Posted November 6, 2007 Share Posted November 6, 2007 It could be a capital improvement, but not one so visible to the investing public that you would expect it to be mentioned in that press release. Or, it could be considered routine maintenance. It all depends. Quote Link to comment Share on other sites More sharing options...
KIBeast Posted November 6, 2007 Share Posted November 6, 2007 ^Well, I am saying that it IS a capital improvement, but by some people's standards around here, unless it's a coaster or thrill ride, it's not a capital improvement which isn't so. Quote Link to comment Share on other sites More sharing options...
jzarley Posted November 6, 2007 Share Posted November 6, 2007 ^ why would painting an existing ride be considered CAP EX? My company is pretty creative when it comes to classifying things as capital, but I don't see how that argument could be made for a paint job... http://moneycentral.msn.com/taxes/glossary...y.asp?TermID=49 Now, if your point is that it takes CAPITAL (aka "money") to accomplish it of course that's right. However, "CAP EX" has a very specific and definite meaning as determined by the IRS. Quote Link to comment Share on other sites More sharing options...
The Interpreter Posted November 6, 2007 Share Posted November 6, 2007 Suffice it to say it has been done....under the newest legislation, I'd be very reluctant to call it such...to put it mildly, seems more like operations and maintenance expense to me. Quote Link to comment Share on other sites More sharing options...
jzarley Posted November 6, 2007 Share Posted November 6, 2007 ^ Yeah, WorldCom classified network maintenance items as CAP EX too... (of course, look where they're at now ) Quote Link to comment Share on other sites More sharing options...
jzarley Posted November 6, 2007 Share Posted November 6, 2007 Just of of curiousity, Interp (I've always wondered this)--what's the standard depreciation schedule for a rollercoaster? Quote Link to comment Share on other sites More sharing options...
The Interpreter Posted November 6, 2007 Share Posted November 6, 2007 I doubt there is such a thing...and if I knew, I'd consider that proprietary information! Perhaps an analyst should ask Mr. Kinzel that during this conference call! Quote Link to comment Share on other sites More sharing options...
MrPKI Posted November 6, 2007 Share Posted November 6, 2007 So Kings Island is getting nothing next year? It sure looks that way,it's the same type of chainwide announcement that SFI did back in september...in which every park but SFKK & SFA announced new rides for 2008. That's the only thing that I'm dissapointed in: nothing for me to look forward to locally in '08. Both SFKK and KI aren't known to be getting anything. I must say I'm a little suprised that BB isn't getting a small renovation and/or expansion such as Carowinds is doing. BB is a big draw and we've had two coasters, and a kids area overhaul since it's introduction. Quote Link to comment Share on other sites More sharing options...
Aves Posted November 6, 2007 Share Posted November 6, 2007 There is nothing wrong with getting a year off of the coaster business People always tend to think that if we don't get something 300ft and 80mph than we are being exluded. Just wait and see... Quote Link to comment Share on other sites More sharing options...
BoddaH1994 Posted November 6, 2007 Author Share Posted November 6, 2007 Just of of curiousity, Interp (I've always wondered this)--what's the standard depreciation schedule for a rollercoaster? I think we can all agree that it depreciates to a base once they feel as though it is directly responsible for a cash flow from the initial capital investment. I'd say that they'd base it off of an attendence spike the first year, and good old fashion guessing the following years. Quote Link to comment Share on other sites More sharing options...
The Interpreter Posted November 6, 2007 Share Posted November 6, 2007 I think he is asking from an accounting standpoint. I am quite sure Cedar Fair has a standard for depreciating roller coasters. I am also quite certain that no one outside the company, its accountants and the IRS knows what it is, nor are they apt to tell! Quote Link to comment Share on other sites More sharing options...
jzarley Posted November 6, 2007 Share Posted November 6, 2007 ^ Yes, I'm talking from an accounting standpoint. I imagine it also depends on the coaster...for instance, I would think MF would have a longer depreciation schedule than IJ:ST, but who knows... (I'm always interested in that kind of thing ) Quote Link to comment Share on other sites More sharing options...
The Interpreter Posted November 6, 2007 Share Posted November 6, 2007 I'd love to know which is depreciated over a longer period of time: Kingda Ka or Top Thrill Dragster! Quote Link to comment Share on other sites More sharing options...
KDCOASTERFAN Posted November 6, 2007 Share Posted November 6, 2007 So Kings Island is getting nothing next year? It sure looks that way,it's the same type of chainwide announcement that SFI did back in september...in which every park but SFKK & SFA announced new rides for 2008. That's the only thing that I'm dissapointed in: nothing for me to look forward to locally in '08. Both SFKK and KI aren't known to be getting anything. I must say I'm a little suprised that BB isn't getting a small renovation and/or expansion such as Carowinds is doing. BB is a big draw and we've had two coasters, and a kids area overhaul since it's introduction. I'm just glad to see KD getting something "new" as 2008 will mark five years straight that SFA hasn't added any new investments into the ride side of the park,after that announcement came out in september I simply stopped going for the remainder of the season & won't be returning there as a pass holder in 2008. Quote Link to comment Share on other sites More sharing options...
The Interpreter Posted November 8, 2007 Share Posted November 8, 2007 From what I hear it will be a Vekoma Booster Bike Coaster....with echoes of the old Soap Box Derby ride... Turns out they went Zamperla: http://home.businesswire.com/portal/site/g...amp;newsLang=en and: http://www.KICentral.com/forums/index.php?...view=getnewpost The Interpreter, correcting his own posts... Quote Link to comment Share on other sites More sharing options...
BavarianBeatle Posted November 8, 2007 Share Posted November 8, 2007 I doubt there is such a thing...and if I knew, I'd consider that proprietary information! Perhaps an analyst should ask Mr. Kinzel that during this conference call! I'm sure that CF has many accountants and lawyers who work very hard to maximize the depreciation deductions when it comes time to file the tax returns....... Quote Link to comment Share on other sites More sharing options...
Browntggrr Posted November 8, 2007 Share Posted November 8, 2007 Well that was a waste of a season pass for next year. Shame on you Kings Island. Because there may not be a new ride for the park in '08, you feel that your money was wasted for a season pass? You have got to be kidding me! CF added a new coaster to the park in '07 and spent a large amount of money to fix a plagued ride. And you are still not happy? Did you not have fun at the park in '07? The park is not obligated to add a new ride every year just for your enjoyment. Some people are just never happy. Quote Link to comment Share on other sites More sharing options...
spngbob Posted November 8, 2007 Share Posted November 8, 2007 I dunno.. looks like alot of construction in the woods for something random as a bathroom.. If you dont think rides are comin, you could prolly look forward to something 'sweet' n the food department I would guess. Quote Link to comment Share on other sites More sharing options...
KDCOASTERFAN Posted November 8, 2007 Share Posted November 8, 2007 I dunno.. looks like alot of construction in the woods for something random as a bathroom.. If you dont think rides are comin, you could prolly look forward to something 'sweet' n the food department I would guess. That could be preperations for the rumored hyper coming in 09,don't you think that if KI were adding a new ride,along with VF & WOF for 2008 they would've announced it in the chainwide cap ex press release already? Quote Link to comment Share on other sites More sharing options...
Erosarrow05 Posted November 8, 2007 Share Posted November 8, 2007 If a patron of the park generally plans visits around the years new attraction then the lack of that new attraction may not warrant a trip to the park. The reason these parks add new attractions is to draw the crowds year after year. Despite what some people like to profess, there are very few people who go to Kings Island to partake in there dining options and take in the shows to think other wise is silly. Quote Link to comment Share on other sites More sharing options...
jzarley Posted November 8, 2007 Share Posted November 8, 2007 I doubt there is such a thing...and if I knew, I'd consider that proprietary information! Perhaps an analyst should ask Mr. Kinzel that during this conference call! I'm sure that CF has many accountants and lawyers who work very hard to maximize the depreciation deductions when it comes time to file the tax returns....... From a financial reporting standpoint it has a lot more to do with when and how you book costs against your P&L, and how it affects EBITDA (which CF--and a lot of companies-- loves to use as an indicator), then it does tax deductions. For a company like CF, the difference between capitalizing an item or booking it as a current year expense can be the difference between a profit (EBITDA-derived profit anyway) and a loss...so, yeah--you're right that I'm sure they watch it very closely Quote Link to comment Share on other sites More sharing options...
Browntggrr Posted November 9, 2007 Share Posted November 9, 2007 If a patron of the park generally plans visits around the years new attraction then the lack of that new attraction may not warrant a trip to the park. The reason these parks add new attractions is to draw the crowds year after year. Despite what some people like to profess, there are very few people who go to Kings Island to partake in there dining options and take in the shows to think other wise is silly. So the rides that are currently in the park are not worth it year after year? The only reason to go to the park is for a new ride? Now THAT is silly. Quote Link to comment Share on other sites More sharing options...
raptor Posted November 10, 2007 Share Posted November 10, 2007 I would be happy if they just added an indoor sit down and get waited on restaurant Quote Link to comment Share on other sites More sharing options...
Raptor66 Posted November 10, 2007 Share Posted November 10, 2007 I can wait for 2009 to get a new hyper...hopefully. To me, Firehawk is still a new ride. Quote Link to comment Share on other sites More sharing options...
BoddaH1994 Posted November 12, 2007 Author Share Posted November 12, 2007 The TV advertisements are going to be interesting next year without having to focus on a new ride. Quote Link to comment Share on other sites More sharing options...
The Interpreter Posted November 12, 2007 Share Posted November 12, 2007 It's far too early to know for sure there is no new ride for next year. Perhaps not a world record breaking honking coaster, but no new ride? No one knows that for sure yet. Just nothing of such a magnitude that it merited a mention in either the third quarter conference call or the capital investment press release. . . Quote Link to comment Share on other sites More sharing options...
KDCOASTERFAN Posted November 12, 2007 Share Posted November 12, 2007 I would be happy if they just added an indoor sit down and get waited on restaurant That's something that all the foromer paramount parks could use. Quote Link to comment Share on other sites More sharing options...
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